HPCI News: Results of Commission on Physician Payment Reform and March 26th Scorecard Release
To: Members and selected others
There is an escalating need to curtail rising expenditures on health care, of which payment of physicians, and expenses controlled or influenced by physicians, are key drivers. That is the conclusion of a new report by the National Commission on Physician Payment Reform. The Commission recommends transition from fee-for-service. Also, on March 26th, the Catalyst for Payment Reform will release a first-of-its-kind National Scorecard on Payment Reform. See below.
National Commission on Physician Payment Reform Recommends Five-Year Transition Plan Away From Fee-for-Service: CPR will tell us how far we have to go on March 26th
The United States spends an unprecedented $8,000 per person on health care each year – more than any other nation. These costs are unsustainable. One of the single greatest factors driving health care costs is how we pay physicians – and it is fundamentally flawed. We cannot control runaway medical spending without changing how providers are paid. That’s why I formed Catalyst for Payment Reform and why I joined the National Commission on Physician Payment Reform.
A new Report from the Commission released today recommends that we move away from fee-for-service, where doctors are paid for each service they provide. Fee-for-service offers skewed incentives that promote fragmented care and encourage doctors to provide more – and more costly care – regardless of the benefit to patients.
The Commission’s recommendations provide a blueprint for phasing out fee-for-service and transitioning to a more value-oriented, mixed payment model over a 5-year period. The recommendations are well aligned with CPR's goal of achieving 20 percent of payments tied to value by 2020.
On March 26th, Catalyst for Payment Reform will release a first-of-its-kind National Scorecard on Payment Reform, measuring what portion of private sector payments are currently tied to value versus fee-for-service. The Scorecard will give us a sense of how far we have come and how far we have to go to realize our goal. I hope you can join us in person or via webinar.
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